MB-920 Describe Dynamics 365 Supply Chain Management Practice Test 7 — 15 Questions

Question 1

Which TWO of the following are valid warehouse management processes in Dynamics 365 Supply Chain Management?

Accepted Answer

Receiving and putaway. Receiving and putaway, and picking and shipment are core warehouse processes. Production consumption and production reporting are manufacturing processes. Transfer order creation is inventory management. Vendor returns involve purchasing.

Answer

Vendor returns

Answer

Transfer order creation

Answer

Production consumption and production reporting

Question 2

Refer to the exhibit. A purchase order is received with a freight charge. The company wants the freight cost to be allocated to inventory value for landed cost calculations. Which configuration is required?

Accepted Answer

Set up the charge code 'FREIGHT' as a landing cost and allocate it to the purchase order line.. In Dynamics 365 Supply Chain Management, to allocate a freight charge to inventory value for landed cost calculations, you must set up a charge code (e.g., 'FREIGHT') with the 'Landing cost' option enabled. This charge code is then assigned to the purchase order line, which automatically distributes the freight cost proportionally across the items, increasing their inventory value as part of the landed cost.

Answer

Use the 'Charges' code with debit type 'Item' to post to inventory.

Answer

Add the freight charge as a fixed cost to the vendor's invoice.

Answer

Create a new item for freight and include it in the purchase order.

Question 3

Refer to the exhibit. A pick work template has a location profile of 'BULK'. However, workers are being directed to a location with profile 'FLOOR' instead. What is the most likely cause?

Accepted Answer

The location directive for picking does not restrict to location profile 'BULK'.. The location directive determines which locations are searched for picking work. If the directive does not restrict the search to location profile 'BULK', it may return locations with profile 'FLOOR' that match other criteria (e.g., zone, warehouse). Since the work template specifies 'BULK' as the location profile, but the directive is not filtering by that profile, workers are directed to 'FLOOR' locations instead.

Answer

The work class ID 'Picking' is not authorized for 'BULK' locations.

Answer

The work template priority is too low, causing a higher priority template to override.

Answer

The item 'ITEM002' has a default storage location with profile 'FLOOR'.

Question 4

Refer to the exhibit. A production order is in 'Estimated' status. The production scheduler needs to generate material requirements for the order. What should they do next?

Accepted Answer

Schedule the production order.. A production order in 'Estimated' status has not yet been scheduled. Scheduling the order (operations or job scheduling) will generate material requirements and update the status. Releasing the order would require scheduling first. Estimating is already done.

Answer

Post the picking list.

Answer

Start the production order.

Answer

Release the production order.

Question 5

A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager notices that raw material inventory levels often drop below safety stock, causing production delays. Which feature should be configured to automatically generate purchase orders when inventory falls below the reorder point?

Accepted Answer

Replenishment strategies. Replenishment strategies in Dynamics 365 Supply Chain Management allow the system to automatically generate purchase orders when inventory levels fall below the defined reorder point. This ensures that raw material stock is replenished proactively, preventing production delays caused by stockouts.

Answer

Vendor collaboration

Answer

Warehouse management

Answer

Inventory blocking

Question 6

A company uses Dynamics 365 Supply Chain Management with lot-controlled items. The quality team needs to trace all finished goods that used a specific raw material lot due to a supplier defect. Which feature provides full traceability from raw material to finished product?

Accepted Answer

Inventory dimensions (tracking dimensions). Inventory dimensions, specifically tracking dimensions like lot numbers, enable full traceability from raw material to finished product in Dynamics 365 Supply Chain Management. By assigning lot numbers to raw materials and linking them through production orders, the system can trace which finished goods lots consumed a specific raw material lot, supporting quality and recall scenarios.

Answer

Production orders

Answer

Product variants

Answer

Bill of materials

Question 7

A distribution company uses Dynamics 365 Supply Chain Management. They want to optimize warehouse picking routes to reduce travel time. Which module should they configure?

Accepted Answer

Warehouse management. Warehouse management includes wave processing and route optimization for picking. Option A is wrong because transportation management is for inbound/outbound freight. Option C is wrong because inventory management handles stock levels, not picking routes. Option D is wrong because procurement and sourcing is for purchasing.

Answer

Transportation management

Answer

Inventory management

Answer

Procurement and sourcing

Question 8

A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They need to enforce strict FIFO (first in, first out) picking for perishable goods. Which configuration ensures that the oldest inventory is picked first?

Accepted Answer

Configure a reservation hierarchy with expiration date as the primary dimension. Configuring a reservation hierarchy with expiration date as the primary dimension ensures that the system prioritizes inventory based on the oldest expiration date first. In Dynamics 365 Supply Chain Management with advanced warehouse management, the reservation hierarchy defines the order in which dimensions (e.g., location, license plate, expiration date) are considered during reservation and picking. By placing expiration date at the top, the system automatically enforces FIFO for perishable goods, picking the oldest stock first.

Answer

Adjust the work template to order by location

Answer

Set up location profiles with strict picking order

Answer

Modify the mobile device menu item for picking

Question 9

A manufacturer uses Dynamics 365 Supply Chain Management. The production scheduler needs to see real-time capacity load on work centers to avoid overloading. Which workspace or tool should they use?

Accepted Answer

Gantt chart in production control. The Gantt chart in production control provides real-time capacity visualization for work centers, allowing the production scheduler to see capacity load and avoid overloading. Option A is wrong because the cost management workspace focuses on costing, not capacity. Option B is wrong because the warehouse management workspace is for warehouse operations. Option D is wrong because the master planning workspace focuses on material planning, not real-time capacity.

Answer

Cost management workspace

Answer

Warehouse management workspace

Answer

Master planning workspace

Question 10

A company uses Dynamics 365 Supply Chain Management with lot-controlled items. The quality team needs to block a specific lot from being used in production or sales until testing is complete. Which action should they take?

Accepted Answer

Apply an inventory blocking to the lot. Inventory blocking allows you to block a lot for all transactions. Option A is wrong because non-conformance is for after a defect is found, not for blocking a lot during testing. Option C is wrong because quarantine zones are physical, not system-based. Option D is wrong because quality orders are for testing, but they do not automatically block stock unless configured.

Answer

Create a non-conformance for the lot

Answer

Move the lot to a quarantine zone

Answer

Create a quality order for the lot

Question 11

A company uses Dynamics 365 Supply Chain Management. The warehouse manager wants to use barcode scanning for receiving and shipping. Which feature should be configured?

Accepted Answer

Warehouse mobile app. The Warehouse mobile app in Dynamics 365 Supply Chain Management provides barcode scanning capabilities for receiving and shipping operations. Option A is incorrect because Product information management is used for managing product data, not warehouse scanning. Option B is incorrect because Sales and marketing focuses on sales processes, not warehouse operations. Option D is incorrect because Master planning is used for supply planning, not barcode scanning.

Answer

Product information management

Answer

Sales and marketing

Answer

Master planning

Question 12

A company uses Dynamics 365 Supply Chain Management. They need to track the cost of raw materials and finished goods accurately for financial reporting. Which module should they use?

Accepted Answer

Cost management. The Cost management module in Dynamics 365 Supply Chain Management is specifically designed to handle cost accounting, inventory valuation, and financial reporting for raw materials and finished goods. It provides features like standard cost, actual cost, and costing sheets to ensure accurate cost tracking and compliance with financial reporting standards.

Answer

Production control

Answer

Inventory management

Answer

Warehouse management

Question 13

Which TWO features are part of Dynamics 365 Supply Chain Management's warehouse management capabilities?

Accepted Answer

Wave processing. Options B and C are correct because wave processing and location directives are key warehouse management capabilities in Dynamics 365 Supply Chain Management. Option A is incorrect because route planning belongs to transportation management, not warehouse management. Option D is incorrect because demand forecasting is part of master planning. Option E is incorrect because vendor collaboration is a procurement feature.

Answer

Route planning

Answer

Demand forecasting

Answer

Vendor collaboration

Question 14

Which THREE components are essential for setting up a production process in Dynamics 365 Supply Chain Management?

Accepted Answer

Bill of materials (BOM). A is correct because the Bill of Materials (BOM) defines the list of components and raw materials required to produce a finished product. In Dynamics 365 Supply Chain Management, the BOM is a foundational data entity that specifies quantities, items, and their relationships, enabling the system to calculate material requirements and costs for production orders.

Answer

Purchase order

Answer

Sales order

Question 15

Which TWO planning methods are available in Dynamics 365 Supply Chain Management's master planning?

Accepted Answer

Material requirements planning (MRP). Options D and E are correct because master planning in Dynamics 365 Supply Chain Management supports both material requirements planning (MRP) and distribution requirements planning (DRP). Option A is incorrect because capacity requirements planning (CRP) is a related but separate process from master planning. Option B is incorrect because enterprise resource planning (ERP) is the system category, not a planning method. Option C is incorrect because production planning is a broader term that encompasses various planning methods, but it is not a specific planning method available in master planning.

Answer

Capacity requirements planning (CRP)

Answer

Enterprise resource planning (ERP)

Answer

Production planning